BOI report and your business

[EmpirE231]

Has anyone here filed theirs? who did you use, or is there a direct site to do so?

I have seen people talking about it as a requirement, but never received anything official in the mail at our business.

 

[Mandelon]

This is the first I have heard of it. Looks like I'm required to do it.

The Federal Corporate Transparency Act (CTA) requires certain entities to file a beneficial ownership information (BOI) report with the Financial Crimes Enforcement Network (FinCEN). These entities are called "reporting companies" and include corporations, limited liability companies (LLCs), and other similar entities. Reporting companies must file a BOI report if they meet the following criteria:

• They were created or registered to do business in the U.S.
  
  
• They filed a document with a secretary of state or equivalent office
  
  
• They are not exempt
  

Some entities that may qualify for an exemption include:

• Companies that ceased to exist as legal entities before January 1, 2024
  
  
• Regulated public utilities that provide telecommunications services, electrical power, natural gas, or water and sewer services within the United States
  
  
• Large operating companies that have more than 20 full-time employees in the US, operate from a physical office in the US, and filed a federal tax return for the previous year showing more than $5 million in gross receipts or sales
  

The deadline for filing a BOI report depends on when a company was created or registered. Companies created before January 1, 2024, have until January 1, 2025, and companies created or registered after January 1, 2024, and before January 1, 2025, have 90 days from their date of creation or registration.

 

[shintoooo]

It's very easy to do and you can do it yourself here: https://boiefiling.fincen.gov/

Just make sure you have a copy of your driver's license since you'll need to upload it. There are places that will do it for you for a fee like https://eminutes.com/

We have been instructed by our insurance company to not file any for our clients due to liability reasons.

 

[Joker]

Ive never received anything and I don't see who benefits from it.

 

[shintoooo]

Ive never received anything and I don't see who benefits from it.

Just make sure you do it by January 1, 2025. Penalties are steep.

 

[Tooms22]

It's very easy to do and you can do it yourself here: https://boiefiling.fincen.gov/

Just make sure you have a copy of your driver's license since you'll need to upload it. There are places that will do it for you for a fee like https://eminutes.com/

We have been instructed by our insurance company to not file any for our clients due to liability reasons.

Yup, client asked if I could handle this along with Secretary of State filings for 8-10 entities.

I said, "The amount I'd charge to take on the liability would probably make it worthwhile to do on your own."

 

[shintoooo]

Yup, client asked if I could handle this along with Secretary of State filings for 8-10 entities.

I said, "The amount I'd charge to take on the liability would probably make it worthwhile to do on your own."

Yep. I'm getting ready to send an email to my clients letting them know about the filing requirements. We've all been kinda waiting to see if they will make any changes to the requirements and it doesn't look like it so I'll send an email to my clients probably at the end of September. That will give everyone plenty of time to get it done on time.

 

[Mandelon]

I emailed my accountant about it. This was his answer to my question of what he knew about it.

Not much. It is not a tax reporting. It is a legal reporting. We did mail you a letter in January mentioning it and suggesting you consult with a business attorney regarding filing that. Although you can try to file it directly yourself at their website.

You have to file it by end of this year. Then going forward, you only file it within 30 days of any change. If no changes, then no need to file it after this year. But if there is a change you have to file it within 30 days of that change.

You have to report all beneficial owners. That includes any shareholders, and any employee or person who can or helps make decisions for the business. That is the legal part of it, if you are not sure who is a beneficial owner. We are not authorized to make those determinations as CPAs, as they have stated that determination is the practice of law.

For each beneficial owner you provide their name, address, social, and drivers license. So again if anything changes, license renewal, address change, new owner, etc. you have 30 days to update.

It is an incredible reach of the law, and an unbelievable burden they have placed on every small business in the country. With no warning to businesses that they have to file this. And not filing it can result in penalties upwards of $10k. Totally unbelievable.

It is nothing tax related, nothing IRS related. But I have been asked the question hundreds of times, since people have no one else to ask. It is possible we might help file these for clients. We are still waiting to hear from the State Board of Accountancy to see if we are allowed to, or if even submitting the information is considered the practice of law. If we hear back that we can assist, we expect the fee to be $400 per entity. We will not be able to help determine who is a beneficial owner. We will simply have clients provide us the information needed for each person they believe is a beneficial ownership, and we will then go online to submit for them. We will not follow up in the future for any required updates, since there is no way for us to keep track of that, since they made the requirement 30 days from any information change. Meaning in theory people could have to file it multiple times a year if they have more than one change during the year.

For clients that want our assistance, I am making a list. Then hopefully in the next month or two I will get back to those on the list and let them know if we can or can not help. If we can help, I would then provide a list of information needed. Once that information is sent to us, we would then submit the form based on that information.

Quite a nightmare.

 

[EmpirE231]

It's very easy to do and you can do it yourself here: https://boiefiling.fincen.gov/

Just make sure you have a copy of your driver's license since you'll need to upload it. There are places that will do it for you for a fee like https://eminutes.com/

We have been instructed by our insurance company to not file any for our clients due to liability reasons.

Thanks for the info... and from your other reply... do you recommend waiting til November or December to see if anything changes?

seems like a lot of companies will be out of compliance since it is not really out there or known about for most small business owners? also makes you weary to upload more info and copies of drivers licenses etc in a time when there are data breaches left and right. This is pretty much info they already have from any business that files taxes, but they want a new database.

 

[Mandelon]

Ive never received anything and I don't see who benefits from it.

This discloses the owners of businesses. For law enforcement, tax evasion, general information gathering.

 

[shintoooo]

Quite a nightmare.

And that's exactly why I'm waiting because they always change shit at the last minute.

 

[shintoooo]

Thanks for the info... and from your other reply... do you recommend waiting til November or December to see if anything changes?

seems like a lot of companies will be out of compliance since it is not really out there or known about for most small business owners? also makes you weary to upload more info and copies of drivers licenses etc in a time when there are data breaches left and right. This is pretty much info they already have from any business that files taxes, but they want a new database.

If it's your own corporation I would just get it done and over with. I did my own already. Took five minutes.

 

[Racey]

Thanks for the info... and from your other reply... do you recommend waiting til November or December to see if anything changes?

seems like a lot of companies will be out of compliance since it is not really out there or known about for most small business owners? also makes you weary to upload more info and copies of drivers licenses etc in a time when there are data breaches left and right. This is pretty much info they already have from any business that files taxes, but they want a new database.

This is just another piece of their legal buffet they can pick and choose from to screw people at will when they don't have any other cause to go after them.

 

[EmpirE231]

This is just another piece of their legal buffet they can pick and choose from to screw people at will when they don't have any other cause to go after them.

Pretty much. I heard about it from an attorney friend and he said it’s info they pretty much have already, but trying to compile it into a database by forcing business to report it, rather than them having to compile the database. And that it will help them see who the owners or officers are of businesses, and would be used for things such as finding out “John Doe” is an owner of 5 different LLC’s but they all are in the same line of business etc.

Weird part is there is really no PR or official letters going out, so I’m thinking there will be tons of business without their “papers”

 

[D19]

It's very easy to do and you can do it yourself here: https://boiefiling.fincen.gov/

Just make sure you have a copy of your driver's license since you'll need to upload it. There are places that will do it for you for a fee like https://eminutes.com/

We have been instructed by our insurance company to not file any for our clients due to liability reasons.

ADP send me a reminder email once a week and I keep putting it off. Thanks for the link!

 

[D19]

@shintoooo Is this for all entities? I have a few different ones.

 

[shintoooo]

@shintoooo Is this for all entities? I have a few different ones.

Yes, every entity. Make sure you read the rules with regards to partners and shareholders and who you need to include in the filing.

 

[Ct5]

I get a bad feeling any time I hear “information gathering.” More overreach and more control, I think this is a small sample of what’s to come if things don’t change in November.

 

[Melloyellovector]

My cpa gave me the form when doing taxes, had me sign a notice showing I received it. Then got reminder letter to file in mail from …..

Took a few minutes to do online direct. Who cares. Corp info is easy enough to find anyway. Its more for shell companies stacking corp on corp to hide who’s responsible party to pay, that’s where the shady will have to get creative again lol

 

[rivermobster]

Just make sure you do it by January 1, 2025. Penalties are steep.

Is this something I need to do? I'm thinking no, but?

 

[shintoooo]

Is this something I need to do? I'm thinking no, but?

View attachment 1423247

No

 

[jetboatperformance]

Looks pretty simple at least for Us , were a California S corp

 

[bilz]

Is this an FJB thing?

 

[Ct5]

Is this an FJB thing?

It’s part of the Corporate Transparency Act which was enacted in 2021. The way I read it they’re taking info that has been in the states hands and compiling and tracking it at a federal level. So in short, yes. At least they make the forms easy and convenient to fill out….

 

[C-2]

The deal with corps and LLC's is that although your state may require you to identify the corporate officers, the mere fact a person is an officer does not mean they are an owner or investor. That's a common misconception. For example, the Cali Secretary of State does not know who owns a corporation.

The IRS may know, and the FTB may know, but they may not share that info with other agencies, or even with each other. Hence the reason FinCens, the single federalized repository for all things banking, is building their own centralized database.

It's not too big of a big deal since 80% (my guesstimate) of all mom and pop or single officer corps/LLC are in fact owned by its officers.

 

[BabyRay]

I’m glad this thread happened, because I had been of the belief that disregarded entities didn’t need to file. Now I know I need to get them taken care of.

 

[D19]

I did one today. Pretty easy. 5-10 mins.

 

[TonyFanelli]

Just make sure you do it by January 1, 2025. Penalties are steep.

Is this nation wide?

 

[shintoooo]

Is this nation wide?

Yes

 

[TonyFanelli]

Yes

Thank You

 

[Joker]

That was easy

 

[Done-it-again]

I’ll be waiting to the fifth hour to fill it out. Like shin said, the gov likes to change things last minuet (like taxes) and makes you do it again, or maybe not at all.

This is also why I file tax extensions, the dreaded full Oct 15 due date is coming.

 

[Mike L]

If any of you have opened any type of new banking relationship for your businesses in the past few years you have completed this form and may not even realize it. We require one for every new business account we open even loans. They are now trying to centralize the reporting.

 

[petie6464]

This is the biggest bull shit government over reach of all time.. I'm not filing anything F you.

 

[EmpirE231]

Definitely some bullshit, but got it done

 

[Hammer]

Thank you for the reminder. I guess I gotta do it too @shintoooo

 

[Done-it-again]

Thank you for the reminder. I guess I gotta do it too @shintoooo

everyone when you have 25% or more equity interest in a business.

 

[shintoooo]

Thank you for the reminder. I guess I gotta do it too @shintoooo

Yes, i'm senidng out emails to clients this week. Yours is coming up. It's easy to do. I just can't do it for you.

 

[Hammer]

Yes, i'm senidng out emails to clients this week. Yours is coming up. It's easy to do. I just can't do it for you.

Well what good are you then? LOL

 

[shintoooo]

Well what good are you then? LOL

I'll remember that come April 15th.

 

[RichL]

Appreciate the reminder as well. Took care of this a couple of days ago. The thing that bothers me is I would have known nothing about it had it not been for the thread here.

 

[lbhsbz]

Has anyone here filed theirs? who did you use, or is there a direct site to do so?

I have seen people talking about it as a requirement, but never received anything official in the mail at our business.

Took me no more than 5 minutes to do it at the link Shintoo posted